Congress is at an impasse when it comes to how to help millions of Americans recover from the economic fallout of the coronavirus pandemic.
Now, a report from Democrats on the Joint Economic Committee of Congress shows that one group — workers age 55 and older — are among those most at risk for financial hardship.
As millions of workers have lost their jobs, the unemployment rate for those over 55 climbed to the highest rate on record, according to the report.
In April, the gap between the unemployment rate for workers 65 and up and those ages 25 to 54 grew by three percentage points, the biggest ever recorded. Unemployment for those 65 and up was 15.6%, while for prime age workers ages 25 to 54 it was 12.6%. Older workers most at risk for job insecurity include women and Blacks, according to the report.
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Unemployed older workers may face greater challenges finding new employment, while they also must contend with higher risks for health complications due to the pandemic.
What’s more, many Americans do not have much in savings to fall back on. The typical worker has no retirement savings, the report found.
Meanwhile, just 40% of Americans have any retirement funds set aside, according to the report. The typical account balance is $40,000. Those ages 55 to 64 have a median of $88,000 saved.
“If you’re in the 55 to 65 range, it’s not just six months, a year or a year and a half, it’s the rest of your life that is affected by this,” said Rep. Don Beyer, D-Va., vice chair of the U.S. Congress Joint Economic Committee.